Central Govt gives three percent increase on DA/Dearness Relief

Syllad | The Rising MeghalayaMarch 30, 2022

The Central Govt on Thursday announced a three percent increases on dearness allowances and dearness relief.

Chaired by Prime Minister Narendra Modi, the Cabinet meeting nodded its approval to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.01.2022.

The decision representing an increase of 3% over the existing rate of 31% of the Basic Pay/Pension, to compensate for price rise.

This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs.9,544.50 crore per annum.

This will benefit about 47.68 lakh Central Government employees and 68.62 lakh pensioners.